ORDER

IA No. 924 of 2020:-

The present application has been filed by Mr. Naresh Kumar Goel, the liquidator of the corporate debtor under section 60(5) of the Insolvency and Bankruptcy Code, 2016 (herein referred to as IBC) for seeking directions, in respect of the release of the Fixed Depository Receipts (herein referred to as FDRs).

2. The applicant has stated the following facts in its application:-

a) This Adjudicating Authority passed an order dated 21.11.2019 admitting the CIRP against M/s BR Knitwears Private Limited (herein referred to as corporate debtor) and Mr. Naresh Kumar Goel was appointed as the Interim Resolution Professional of the corporate debtor.

b) In the second meeting of the COC held on 24.12.2019, it was resolved to file an application before this Adjudicating Authority for the liquidation of the corporate debtor as there were no possibilities of revival of business of the corporate debtor. On an application, this Adjudicating Authority on 13.03.2020 passed an order for the initiation of liquidation of the corporate debtor, and the applicant was duly appointed as the liquidator of the corporate debtor.

c) The liquidator made a public announcement in accordance with Regulation 12 of the IBBI (Liquidation Process) Regulations, 2016 on 15.03.2020.

d) After going through the records of the corporate debtor, the applicant came to know that the FDRs total amounting to Rs.10,00,308/– were lying with respondent No. 1, and thereafter, the applicant wrote a letter dated 17.01.2020 requesting respondent No. 1 to maintain the status quo of the account of the corporate debtor. (Annexure-5 of the application)

e) Further, the applicant vide letter dated 24.01.2020 requested respondent No. 1 to provide details of the bank guarantees issued by respondent No. 1 in favor of respondent no. 2 i.e., Assistant/Deputy Commissioner of Customs, ICD, Tughlakabad, New Delhi. (Annexure-6 of the application)

f) In another letter dated 20.02.2020 sent by the applicant to respondent No. 1, respondent No. 1 was requested to premature the FDR and make a fresh FDR of Rs. 10,00,308/– as a 100% margin against the bank guarantee issued by respondent No. 1 in favor of respondent No. 2. (Letter dated 20.02.2020, has been annexed as Annexure-7 of the application)

g) Respondent No. 1 vide email dated 26.02.2020, informed the applicant that a letter was received from respondent No. 2 wherein the custom department sought for invocation of bank of bank guarantees issued in its favor. (Annexure A-9 of the application). In its reply, the applicant stated that in pursuance to the moratorium imposed under Section 14 of the IBC, the bank guarantees cannot be invoked by respondent No. 2, for which a separate claim had to be filed by respondent No. 2 before the applicant. (Annexure A-10 of the application)

h) Vide letter dated 19.03.2020 and email dated 08.05.2020 the applicant requested respondent No. 1 to liquidate the FDRs amounting to Rs.10,00,308/– in the name of the corporate debtor and transfer the funds so generated along with the interest occurred till date on the aforesaid FDR for the purpose of liquidation of the corporate debtor. (Annexure- 11 of the application). In response to the afore-mentioned email, respondent No. 1 in its letter dated 11.05.2020 (Annexure-12 of the application) stated that an amount of Rs.8,35,019/- had been released and a fresh FDR of Rs.10,00,308/– was kept as 100% margin against aforesaid bank guarantee, issued by them to respondent No. 2.

i) The applicant again on 31.08.2020 wrote a letter to respondent No. 1 to liquidate the FDR and transfer the principal amount along with interest to the liquidation account of the corporate debtor (Annexure-13 of the application). In response to the above-mentioned letter, respondent No.1 gave its reply on 12.10.2020 stating that the amount lying with respondent No. 1 will be released only after obtaining NOC/permission from respondent No. 2.

j) It has been stated by the applicant that the app